Ultimately, a business is worth that magical combination of price and terms at which a Seller and a Buyer will agree to consummate a transaction. There are always situational, motivational and psychological factors which cannot be calculated by any formula. There are, however, logical and reasonable ways to estimate the value of a business based on the past and theoretical future earning power of the business with consideration to the assets included, as well as market data regarding sales of comparable businesses. The American Society of Appraisers definition of fair market value is “the amount at which property would change hands between a willing seller and a willing buyer when neither is acting under compulsion and when both have reasonable knowledge of the relevant facts.” Thus, a business valuation is hypothetical, but certainly has application in the real world. If an impartial, professionally prepared valuation is performed on a business prior to putting a business on the market, the Seller will have a good idea of what the business is likely to be worth to a buyer and can make an informed decision as to whether that is an acceptable outcome. If the Seller is not willing to sell at (or near) the fair market value, then, if feasible, it may be wise to delay marketing the business until measures can be implemented to add value to the business. Unlike many other brokerage firms, we are very happy to work with owners on a consulting basis to develop a comprehensive exit plan and assist in implementing measures to properly prepare a business for market. Prematurely bringing a business to market at an unrealistic price is generally a fruitless pursuit, but it happens frequently, and the result is unsold businesses, disappointed sellers and buyers, wasted time - and broker brokers. Sometimes it can result in further decline in value as the owner’s attention may be diverted from growing, operating profitably and adding value to the business. We offer business owners access to reasonably priced, professionally prepared business valuation reports by nationally recognized valuation experts. We collect and assemble the essential due diligence package, and arrange for the third party professional analysis and valuation report. When the business is placed on the market, the due diligence information provides the factual basis of the Confidential Memorandum , which provides detailed information and a justification of the asking price for the business to qualified buyer prospects (who must agree to maintain confidentiality prior to learning the identity of the business). Buyers want to know what they are buying, and what it is worth. A well presented and documented business is worth much more because buyers have a greater comfort level investing in a business where the essential details are disclosed – not obscured and delayed. This process is a proven method to successfully facilitate the confidential sale of privately held businesses - so effective, that we will gladly deduct the cost of the business valuation from our success fee upon the sale of the business!

Why should I choose Asheville Business Consultants to sell my business?

The process of selling a business requires dedicated, professional attention. Marketing and facilitating a business transfer is a full-time job! You deserve someone who will work as hard as you do. Our experienced team of Certified Business Intermediaries will save business owners money by helping them to avoid costly mistakes, we have the skills needed to effectively present the appeal of your business, and maximize exposure to serious, qualified buyers--all with complete confidentiality.

For example, ask yourself:

How do you reach qualified buyers, including possibly competitors, without disclosing your intentions to sell?

How do you evaluate your business objectively to ensure you receive top dollar for your investment and avoid costly negotiating tactics?

How do you prepare and provide the information a prospective buyer will require to interest him or her in pursuing your business in favor of other options?

How do you arrive at the best price and terms, including the intangible and goodwill values of your business?

How do you maximize your favorable exposure to potential offers while minimizing your potentially damaging public exposure to customers, competitors, employees, and suppliers?

How do you market your business in all of the appropriate markets, databases, and media efficiently, effectively, and confidentially?

How do you screen and pre-qualify buyers, determine their motivations, managerial capabilities, and financial strength?

How do you effectively sell your business, diverting significant time, effort and resources to that process, while continuing to manage your ongoing business productively.

The answer is clear: In a matter this important you need qualified, capable, experienced professionals on your team to guide you through the process, prepare and assemble the necessary due diligence documentation and financial analysis, put together an effective selling strategy and informative presentation highlighting the positive aspects of your business, find and screen buyer prospects, help negotiate a deal and move forward to a successful closing, all while protecting your confidentiality. Call Asheville Business Consultants for a free, no obligation initial consultation. We are not trying to list the most businesses -just the very best businesses for sale in Western North Carolina - that we can successfully represent with honor and integrity. Does the value of your business merit the professional assistance of a Certified Business Intermediary to develop and execute your exit plan? If so, call us today!

When is the best time to sell a business?

The best time to sell a business is when you have properly prepared the business for market. An effective exit plan may take three years to implement – or more if there are value enhancing measures to put in place. Sometimes the unexpected raises its head and family, health, partner disputes or other issues may create a sense of urgency and require moving forward with a sale even if it is not the best possible time. Sometimes an owner just does not feel passionate about the business any more. Then, it is better to move forward promptly, before the business begins to slip. Our role is not to encourage a business owner to sell before they are ready, but to provide resources to help owners be ready for when the time comes, then make it happen!

Do you represent Buyers and Sellers?

Not at the same time in the same deal. If a Buyer contacts us regarding one of our listings, we are working as an agent of the Seller and have a fiduciary responsibility to our Seller Client. In the event that a serious Buyer is determined to locate a suitable business in the Western North Carolina, and has ruled out any businesses that we currently represent, we will consider Buyer Representation and assist the Buyer Client in a targeted search locating and evaluating potential opportunities, which may not officially be on the market or may be listed by another co-operating Broker. We offer consulting services to Buyers who seek professional assistance in evaluating opportunities where we are not representing the Seller. Having an experienced Certified Business Intermediary on your team may save you a fortune!

Why do I have to sign a Confidentiality Agreement to find out about a business?

Business owners have very valid reasons to require confidentiality. Often, they want to control when their employees find out the business is for sale. They are concerned that their employees may quit or become nervous about their job stability if they learn the business is for sale. Since most Buyers want the employees of the business to stay on, as they are necessary for the business to function, these fears are usually unfounded. Still there are certainly legitimate reasons not to want competitors, suppliers, creditors or customers to know a business is for sale, since that knowledge could damage the business. One certainly does not want competitors to learn trade secrets that could jeopardize a competitive advantage. Those are the primary reasons, along with the fact you will not succeed in buying a business if you are not willing to sign such an agreement. A buyer should also understand that buying a business will require disclosures regarding the buyer’s financial capabilities - and our Confidentiality Agreement includes the Buyer’s assurance that they are financially capable of consummating the contemplated transaction. A confidential Buyer’s financial statement will be required by a Seller prior to considering any offers. At Asheville Business Consultants we understand the importance of confidentiality and take pains to ensure that it is maintained.

Do you require upfront fees to list a business?

We offer a free, no obligation, initial consultation to prospective Sellers and Buyers. When we list a business, a substantial investment is required to prepare the business for market and to subsequently locate and work with buyers. We are good at what we do, but for us to be successful closing a deal, the seller must be serious about selling the business. The nominal fees requested for valuations, listing preparation and marketing fees demonstrate that the business owner is serious about selling and invested in the process, just as an earnest money deposit demonstrates that a buyer is serious about their purchase offer. If you, the business owner, are prepared to go through the proven, methodical, step-by-step process we recommend, engage us to arrange a third party market value analysis - and list in the fair market value range, we will be happy to waive any additional fees prior to closing. To take it one step further, in all instances, we deduct any fees received for valuations, listing and marketing from our commission at closing and return that to you, the Client, as a credit on the closing statement. We do not mind doing the work or investing in marketing your business, as long as you are willing to close the deal with justifiable price and terms when a ready, willing and able buyer is brought to the table. For a fee schedule please contact us.

I’d like to own my own business but I don’t have enough money to buy an existing business. Can you help me?

Yes, our business is all about helping people achieve success through business ownership. Buying an existing business can be a very good way to become a successful business owner. There are also other opportunities available to build your own business that have remarkable earnings potential with only a minimal financial investment. Just like buying an existing business, they do require some time and effort, along with drive, determination and perseverance on your part. Considering the current economic conditions, many people are facing unemployment, underemployment, reduced income and other hardships. Job security in the corporate world is a thing of the past. The only real security is to take responsibility for your own financial success and become a business owner and investor. That is the road to wealth and financial security - even in this troubled economy. If you would like to learn more about such an opportunity with proven potential for success, please give Paul Quick a call at (828) 254-3598 or email at pquick@avlbiz.com.